Flying the hot-air balloon in their heads

Opposition MPs are spinning based on wrong information again. This time, they are taking potshots against Former Ambassador to United States of America Dato’ Seri Dr Jamaluddin Jarjis. They are alleging that the Former Minister of Science, Technology and Innovation is the ‘dark horse’ behind newly launched Malindo Airways.

DAP Chief Strategist and former Economic Adviser to DAP Secretary General Tony Pua’s statement a week ago.

Malindo part-owned by JJ’s kids, MP alleges

UPDATED @ 07:06:10 PM 24-10-2012
By Clara Chooi
Assistant News Editor
October 24, 2012

KUALA LUMPUR, Oct 24 ― The children of senior Barisan Nasional (BN) politician Datuk Jamaluddin Jarjis have an indirect stake in Malindo Airways, a newly set-up airline that has been criticised for the lack of clarity surrounding its financial and safety records, a lawmaker alleged today

Petaling Jaya Utara MP Tony Pua (picture) drew the link through a search with the Companies Commission of Malaysia (CCM), which showed that one of Malindo’s investors ― Malaysia’s National Aerospace and Defence Industries Sdn Bhd (NADI) ― is part owned by DZJJ Sdn Bhd, which in turn lists Jamaluddin’s two children as directors.

Pua added that according to CCM’s information on NADI, the firm had failed to file is audited accounts from 2007, casting even more suspicion on the state of its finances.

Documents obtained from CCM showed that for the year 2007, NADI reported revenue of RM307.3 million and post-tax profit of RM90.5 million.

It also had RM684 million in current assets and RM496 million in current liabilities in 2007.

He repeated his earlier allegation that NADI’s partner in Malindo ― Indonesia’s Indonesia’s PT Lion Grup, which operates Lion Air ― has also run afoul of the industry authorities numerous times over its failure to comply with safety guidelines.

Pua had previously pointed out that Lion Air is on the list of airlines banned in the European Union since 2007 due to safety concerns.

According to previous media reports, Lion Air has also been denied membership in the International Air Transport Association (IATA). A search on IATA’s website confirmed that Lion Air is not a member.

“These issues were raised before but until today, no response has been given,” Pua said.

The Malaysian Insider reported analysts as saying on September 14 that the lack of clarity surrounding the financial and safety records of Malinda Airlines’ backers may make it difficult for it to challenge AirAsia’s supremacy in the budget airline skies.

Analysts said that the new joint venture airline could be facing years of losses as it tries to take market share away from both AirAsia and Malaysia Airlines so much will hinge on the robustness of its two investors — NADI and Indonesia’s PT Lion Group.

CIMB noted that there is a lack of clarity about the financial position of NADI since it has not filed its financial statements with the CCM since 2007, as is required.

“If NADI cannot inject sufficient capital to cover the losses for the first few years, we are unclear if Malindo will be able to execute its expansion plans,” said CIMB.

CIMB added that Berjaya Air would have been a far more potent partner for Lion in Malaysia, as it has a vast and profitable business empire and the ability to raise finance but Lion and Berjaya could not agree on terms.

CIMB also said that Lion Air does not offer any public financial disclosure but from discussions with sources, it suspects that Lion has a very high gearing level due to its massive aircraft order book and that its core domestic Indonesian business may also not be very profitable.

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This is the joint statement by DAP Chief Strategist and MP for PJ Utara Tony Pua, PKR Vice President and Lembah Pantai MP Nurul Izzah Anwar and PAS MP for Shah Alam Khalid Samad, as per reported by KeAdilan Daily.

Beri lesen penerbangan untuk syarikat kroni, Najib mesti jawab

(Oleh Aisha Geoffrey)

KUALA LUMPUR 29 Oktober: Perdana Menteri, Datuk Seri Najib Razak digesa menjawab penganugerahan lesen penerbangan baru kepada Malindo Airways, syarikat milik anak bekas Menteri yang dijadual akan memulakan operasi Mei tahun depan.

Malindo Airways merupakan hasil kerjasama antara National Aerospace & Defence Industries Sdn Bhd (Nadi) dan Pt Lion Grup dari Indonesia.

Salah satu anak syarikat dalam Nadi ialah DZJJ Sdn Bhd, dimiliki Nur Anis Jamaluddin dan Ikhwan Hafiz Jamaluddin, anak bekas Menteri Sains, Teknologi dan Inovatif (Mosti).

September lalu, Najib menghadiri majlis pemeteraian perjanjian usahasama antara Nadi dan Pt Lion yang membentuk Malindo Airways.

Nadi akan menguasai sebanyak 51 peratus kepentingan dalam Malindo Airways, manakala selebihnya daripada PT Lion Grup.

Malindo Airways akan berpangkalan dan beroperasi di KLIA2, Sepang.

Pakatan Rakyat mempertikai mengapa syarikat Pt Lion yang mempunyai rekod buruk di Indonesia dibenarkan membentuk syarikat penerbangan di Malaysia.

Menurut Ahli Parlimen Petaling Jaya Utara, Tony Pua, Pt Lion telah disenaraihitam di Eropah.

“Syarikat itu mempunyai rekod paling buruk di Indonesia, juruterbangnya pernah didenda kerana mengambil dadah,” katanya dalam sidang media di Parlimen.

Ahli Parlimen Lembah Pantai, Nurul Izzah Anwar berkata, kewujudan Malindo Airways hanya akan menambah risiko penerbangan negara.

“Malah, kapal terbang syarikat itu pernah mengalami kemalangan pada 12 September lalu, justeru kita persoal bagaimana Najib dan Menteri Pengangkutan boleh meluluskan kerjasama tersebut,” kata Naib Presiden KEADILAN itu.

Ahli Parlimen Shah Alam, Khalid Samad turut meragui kekayaan anak Jamaluddin Jarjis sehingga boleh menjadi pemegang syer sebuah syarikat besar.

“Kita hairan, anak menteri boleh ada saham berjuta ringgit, dalam usia semuda 25 hingga 27 tahun,” katanya.

Anak Jamaluddin dilaporkan turut mempunyai syarikat sistem radar di Subang, Selangor.

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Obviously, their statement both against Dr Jamaluddin, National Aerospace and Defence Industries (NADI) and Malindo Airways is wrong. In fact, it was with malice with the explicit purpose to ridicule the rakyat.

Prime Minister Dato’ Sri Mohd Najib Tun Razak with NADI CEO Tan Sri Ahmad Johan, Transport Minister Dato’ Seri Kong Cho Ha and Lion Air CEO Rusdi Kirana at the launch of Malindo AIrways

Neither Dr Jamaluddin nor any of his children are directors nor shareholders in Malindo Airways. For the matter of fact, the only three directors of Malindo Airways which is a Sendirian Berhad company incorporated in Subang with a paid up capital of RM 5 million are Tan Sri Ahmad Johan, R M Chandran and Rusdi Kirana. Rusdi is the CEO of Lion Air. NADI owns 51% of the paid up of Malindo Airways and 49% is held by PT Lion Air, an Indonesian incorporated company.

Another fact, Dr Jamaluddin nor any of his children or immediate family members sit in the Board of Directors (BOD) of NADI.

Most of the BOD members of NADI are former generals in the Malaysian Armed Forces, particularly the air force. This include former Chief of Defense Forces Jen. (B) Tan Sri Hashim Mohamed Ali. former Chief of Army Jen (B) Tan Sri Mohd Shahrom Hj Nordin and former Chief of Air Force Lt. Jen. (B) Tan Sri Mohd Yunus Tasi TUDM. So are some of the senior managers, like Executive Director Brig. Jen. (B) Dato’ Abdul Rahim Abdul Rahman.

This proven the strategic interest of the Malaysian Government in NADI. For a matter of fact, Minister of Finance Inc. is still a shareholder of NADI.

Board of Directors of NADI

About ten years ago Ahmad, through a corporate restructuring of PJS Holdings Sdn. Bhd., took control of NADI, consolidated and rationalised the management and operations of Airod, ATSC Sdn. Bhd. and SME Ordinance. Ahmad also became the majority shareholder. He and the new management team restructured the NADI group and turned it around. Today, NADI’s consolidated asset is worth more than RM 700 million.

DCA is in the process of issuing a license to Malindo Airways, which is legally and technically a Malaysian incorporated airlines. It will be treated like any other application where the safety issues would be a major consideration. What ever safety issues of any of Malindo Airways shareholders face elsewhere should not be part of the consideration, since the merit for the airline operating certificate (AOC) is treated independently.

An immediate example is the recent Air Asia’s renewal of AOC was only issued for six months.

On the argument is that Lion Air’s blacklisting from European aerospace is not too clear. Some people doubt this ‘blacklisting’ as being speculative as this story was never substatianted with relevant report from European Union aerospace authority.

PM Dato’ Sri Mohd. Najib Tun Razak with Dato’ Seri Dr Jamaluddin Jarjis, when US Trade Rep Ron Kirk and US Ambassador to Malaysia Paul W Jones called on the former

Prime Minister Dato’ Sri Mohd. Najib Tun Razak’s support for Malindo Airways got nothing to do with Dr Jamaluddin. It was about pro-actively getting new Malaysian participation in the regional air carriers business, ahead of the ASEAN Open Sky policy in 2015. Malindo Airways is a strong partnership between a successful Malaysian company in the maintenance, repair and overhaul (MRO) sector and an upcoming leader in the region’s promising air carrier sector.

In some quarters, many had the firm belief that Prime Minister Najib’s support for Malindo Airways is about teaching Tony Fernandes and his arrogance a lesson.

An electrical engineer by training Dr. Jamaluddin was a successful businessman in his own right, since over 30 years ago. He formed DZJJ and acquired a small Chinese owned manufacturing company EPE Power in 1985. After building the company, ten years later he listed EPE Power Corporation Bhd. in then KLSE. All these happened way before he was a Parliamentarian, let alone a Cabinet Minister.

In the ‘economic boom’ of the early 90s where Malay technocrats started to take centre stage in the mainstream Malaysian business and corporate community, business media already had Dr. Jamaluddin in the radar screen as a ‘man to watch’. EPE Power then was in the same cohort as Crest Petroleum and Sapura Holdings.

Obviously Dr Jamaluddin was a wealthy man, even when Pua was yet to be in the job market and Nurul Izzah was still in lower secondary school. For him to part some of that wealth and riches to his children for a head start should not be any big mystery.

Dr Jamaluddin as the Malaysian Ambassador to the United States, at the presentation of his credentials to President Barack H Obama at the Oval Office, White House

The strike against Dr Jamaluddin and Malindo Airways is obviously another sordid attempt to discredit Prime Minister Dato’ Sri Mohd. Najib Tun Razak. The former is a very important link for the Malaysian Prime Minister to the Washington D.C. administration and politicians, especially in global issues such as ‘Global Moderate Movement’ and common issues which Prime Minister Najib shares closely with US President Barack H. Obama.

The MP for Rompin is also a key person for Prime Minister Najib to progresively and effectively engage the American business and academic community. The relationship is forming stronger and proven to be productive for both countries. This is also amidst Washington D.C.’s New Con Jewish blue-eyed-boy Anwar Ibrahim soured and now estranged relationship, for his ‘anti semitic’ strikes against ‘The Jews’ when the Opposition created APCO controversy.

Nurul Izzah and Pua have been on the ‘character assassination’ track for quite a bit now, especially manipulating inaccurate facts and then sensationalise it, with a malice intent. The more recent was the radar system for the ATC Tower II for the upcoming KLIA2 terminal.

The Opposition is drumming up any opportunity of their ‘Politics of Hatred’ strategy where ever they can manipulate or ridicule, even fabricate if they have to, in the run up to the last corner before the 13GE expected sometime in the Q1 of 2013. Especially after non deliverance for the votes the rakyat gave them in the 12GE. The have to keep up with this manipulation or fabrication of facts momentum or otherwise risk losing bad at the polls.

It is a mark of desperation. All nothing but ‘hot-air’. Nowadays, they have fly the hot-air balloon, in their heads. Like flying hot-air balloons, they have to maintain the furnace burning. Otherwise their gondola will fall.

Published in: on November 1, 2012 at 23:55  Comments (18)  
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